Saturday, June 30, 2012

Bankers are Above the Law: MPs demand judicial inquiry and police action as rage grows over bank corruption scandal

The ‘shoddy and deceitful’ behaviour of banks should be probed at a public inquiry, David Cameron was told.

Following an extraordinary week of scandal and disgrace, senior politicians and church leaders called for a financial equivalent of Lord Leveson’s Press inquiry.

Labour leader Ed Miliband wants the Prime Minister to set up a judicial investigation into the banking world that would lead to a standards board and code of conduct.

Revelations that traders conspired for years to rig key interest rates have created a widespread feeling that only a truth and reconciliation inquiry can restore trust in an industry vital for economic recovery.

To make matters worse, Barclays, HSBC, Lloyds and Royal Bank of Scotland were censured yesterday for selling risky and inappropriate insurance to thousands of small firms.

The Financial Services Authority said the big four missold hard-to-understand interest rate swaps to thousands of businesses, leading some of them to go bust. Read More